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Mexico's Federal Competition Commission (Cofece for its Spanish acronym) recommended to formally recognize Uber and Cabify as a new category or mode of transport.
The antitrust authority said that these services constitute a new product on the market and contribute to social welfare.
It added that the legal framework should be limited to protect the passengers' safety and "should not impose unjustified restrictions on free competition", such as registering vehicles, limiting their number or requesting them to have special plates, colors or prices, which should be determined by the companies themselves based on the market's supply and demand laws.
In the Cofece's opinion the taxi services must have insurance coverage and the skills and background of drivers should be verified.
The opinion issued by the Cofece about the impact on competition of transport services through mobile platforms was addressed to Mexico City mayor, state governors and local legislatures .
